Marketers May Engage in Value Pricing, Which Is the Practice

question 85

Multiple Choice

Marketers may engage in value pricing, which is the practice of simultaneously ________ while maintaining or decreasing price.

• A) promoting specific product and service benefits
• B) increasing product and service benefits
• C) decreasing profit
• D) analyzing benefits
• E) decreasing cost

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Definitions:

Flexible Budget

A flexible budget adjusts based on actual revenue levels or other external factors, allowing for more dynamic and responsive financial planning.

Variable Costs

Costs that change in proportion to the level of activity or volume of production.

Fixed Costs

Expenses that do not change with the level of production or sales activities within a certain range or period.

Operating Income

This refers to the profit realized from a business's operations, calculated by subtracting operating expenses from gross profit.